633 sats \ 9 replies \ @TonyGiorgio OP 21 Jan \ parent \ on: Fedimint is Self-Custodial ecash
I'm also saying there's no custody of a currency that you have given up ownership of.
Users custody ecash, not bitcoin. It's not a Bitcoin custody solution.
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674 sats \ 6 replies \ @calle 21 Jan
I'm not sure I understand what you're saying but it seems very clear to me:
  • you give up custody of your bitcoin. it's custodial.
  • you hold the ecash yourself. it's noncustodial.
it's custodial bitcoin and noncustodial ecash.
I thought we were talking about Bitcoin custody: it's custodial Bitcoin.
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0 sats \ 0 replies \ @anon 23 Jan
it's custodial bitcoin and noncustodial ecash.
This is the part that I think is confusing and tripping people up (or at least me) when thinking about Fedimints, Cashu, and ecash. Good clarification that should be said more often. Thank you
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0 sats \ 0 replies \ @SahilC0 21 Jan
you're doing an atomic swap of bitcoin for ecash
not tryna put words in tony's mouth - but that's my interpretation.
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0 sats \ 2 replies \ @Scoresby 21 Jan
I am but a young girl unschooled in the ways of war, but...
Isn't it that you sold your btc for the mint's ecash and when you go back on chain you have to buy btc with those ecash tokens?
If I use bitcoin to buy dollars from coinbase, I give them btc and they give me dollars. They aren't custodying my bitcoin for me until I ask for them back. Its their btc now.
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40 sats \ 1 reply \ @calle 21 Jan
If I use bitcoin to buy dollars from coinbase, I give them btc and they give me dollars. They aren't custodying my bitcoin for me until I ask for them back. Its their btc now.
That's not how banks work.
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25 sats \ 0 replies \ @Scoresby 21 Jan
Right. I'm saying ecash mints might not be banks. They might be more like exchanges.
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0 sats \ 0 replies \ @calle 21 Jan
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0 sats \ 1 reply \ @moneyball 22 Jan
So there is a capital gains tax event incurred? (at least in jurisdictions where there is a tax event when selling/swapping an asset)
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0 sats \ 0 replies \ @TonyGiorgio OP 22 Jan
That's a good question. Perhaps something the user has to worry about.
On the mint side, hard to argue having just one of the keys gives them a tax liability when they don't technically own it either.
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